McClaren, 49, was sacked by the Bundesliga outfit in the wake of his side’s 1-0 loss to Hannover last Saturday.
The defeat was their second successive loss and continued a miserable sequence of just one league win in 11, leaving them just one point above the relegation zone.
“Naturally, I am hugely disappointed that my time as Head Coach of VfL Wolfsburg has come to an end,” said the former England manager in a statement released by the League Managers Association.
“However, I am extremely proud to have become the first Englishman to manage a Bundesliga club following the marvellous experience of coaching in Holland for two years culminating in winning the Dutch title.”
McClaren, who is the first English manager to have coached a Bundesliga side, was last season named Dutch Coach of the Year after leading FC Twente to the club’s first league title before opting to move to Germany last summer.
“Since I came to the club, I have worked really hard to implement changes to bring stability and success on the field,” said McClaren. “I believe we have been making good progress and have only lost two of the last ten games in the Bundesliga.
“I have built up a strong relationship with the squad during my time here and I sincerely thank all the players for their hard work and great attitude. I would also like to thank the fantastic Wolfsburg fans who have been so supportive of me during my time in Germany.”
McClaren added: “I wish the club, its supporters, staff and players every success for the future and I now look forward to the challenge of securing another management opportunity in football.”
And LMA chief executive Richard Bevan is confident McClaren will swiftly find work at another of Europe’s top clubs. He said: “I am certain that SteveÃ¢â‚¬â„¢s highly impressive credentials as a coach and manager will be widely sought after throughout Europe.”
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